Corrective dynamics

22.07.2021

Daily chart: British pound has moved into an upward technical correction, which may reach the middle Bollinger band (1.3804). The fact that the growth is precisely corrective, not reversal, follows from the antiphase movement of the RSI/ADX indicators.

Н4: local resistance in the 1.3757 zone (upper Bollinger band) may not let the bulls go higher, because there is no full-fledged trend potential of the ADX here.

Н1: we confirm the strong resistance area 1.3741-1.3757. We are waiting for the quotes to roll back down to 1.3704 and, possibly, to 1.3672.

Conclusions: decline to 1.3704 and 1.3672.
Trading decisions:
1. Sales to 1.3704 and 1.3672.
2. Search for possible buy signals in the 1.3672 zone.